Speculation on Ethereum ETF Drives Market Surge for Ethereum Classic

Author : Elisabeth Louise | Published On : 24 Jan 2024

Ethereum Classic's recent market performance presents a critical moment for the cryptocurrency, particularly in light of the Ethereum ETF speculation and its current positioning at a major support-resistance level. Technical indicators on the daily chart reveal a bearish bias, signaling the potential for a downtrend in Ethereum Classic's price.

The Relative Strength Index (RSI) has shifted its trendline a few weeks ago, dropping below the neutral index of 50 and currently standing at 49. This suggests a strong downtrend in play. The Moving Average Convergence Divergence (MACD) indicator further supports the bearish trend, as the MACD line falls below the signal line, accompanied by red bars in the histogram.

As of now, ETC is trading on a bearish note, with its price showing a decrease of over 3% in the past 24 hours, following a wider market dip. The cryptocurrency has been on a downtrend for the past week, unable to sustain levels above the key $27 mark. The recent drop below $25 establishes a new support at $23.40.

In conclusion, Ethereum Classic's response to the Ethereum ETF speculation and its current technical indicators suggest a critical phase for the cryptocurrency. The potential downtrend indicated by technical indicators and the positioning at a significant support-resistance level will likely influence ETC's market behavior in the upcoming period.